Replies to post #324419 on NanoTech Entertainment Inc (NTEK)

[Meow D itchy Kitty]

Good post! Sounds like a very plausible scenario to Meow. And come to think of it, Meow is no longer shocked at the lengths the NTEK crew have gone to scam the investors. Who knew that being a sociopath was a disease that David Foley to spread to his family, NTEK officers, and corrupt Promoters. But to be fair, Meow has never had any opportunity to scam multiple millions off people. You never know how a Cat might act if presented with a oil tanker full of catnip. But knowing how much this scam has hurt Meow and others fooled into investing with NTEK, Meow knows now more than ever how not to conduct ones self. Even to support NTEK for financial self preservation always seemed so selfish wrong to Meow. Anything related to NTEK just seems to brings out the worst in everyone.

[shajandr]

"If all the moneys coming in from the scam are going to pay off old debts, why do it at all?"

Because they are legally obligated to do so. The floorless convertible notes require the company to either RS or raise AS as needed to accommodate the issuances of shares per the floorless notes.

Virtually every floorless convertible debenture nore contains this provision, and it's legally enforceable in the courts - and is is fact threatened or litigated often. Every time that I know of, the courts nott only force the company to raise the AS (or do an RS) AND also award the plaintiff CD holder money damages.

[shajandr]

"So I think at least some of those "aged debts" must be backdated payments to themselves. Think "deferred salary," that sort of thing."

Yes. Indeed so.

"Why would Riordan be doing it? He's a crook, sure, but he doesn't seem to have the same natural comfort with larceny that these other folks have. Somehow, he's got to come away from this with a million or two, right?"

See above. Petey has few better options than to keep sucking on the salary tailpipe.